Edible Oil: Edible oil is going to be expensive! Government is going to take this big decision on import duty

Edible Oil: Now again there is a ruckus about the price of edible oil. Now the exemption of import duty on edible oil in the country can be withdrawn. It is discussed that in the last 6 months, due to the decreasing prices of edible oil in India along with the global trend, the government may now withdraw the exemption given on their import duty. With the import duty being expensive, the price of edible oil coming from outside may increase and their prices may increase in the country.

In September last year, the government had decided to reduce import duty on edible oil.

The import duty on the import of edible oil was reduced in September last year. This decision was taken in view of the rising prices of edible oil in the country so that people can get relief on edible oils. Although sources say that the decision will be taken after the arrival of fresh mustard crop, the decision to increase or re-implement the import duty will be finalized only then.

when can be decided

According to a news from the Financial Express, sources have said that after the arrival of domestic mustard crop in the market, a decision can be taken to remove the exemption on import duty. This could happen around May 2023. The Soybean Processors Association, in a recent dialogue with the Ministry of Commerce, has urged the government to increase the import duty on all types of edible oils.

Due to the fear of getting less price to the farmers, it is necessary to take a decision – sources

Sources also say that the cheap import of edible oil can make it difficult for the farmers of the country to get the right price for their mustard crop. The harvesting of the standing crop will start by the end of next month. According to preliminary estimates, the production of mustard seed is likely to cross 12.5 million tonnes (MT) in the crop year 2022-23 (July-June), which is 7 per cent higher than last year.

Know the figures of import of edible oil in the country

The country’s annual edible oil import has been 13 million tonnes or 1.30 million tonnes, in which the import of palm oil has been 8 million tonnes, soyabean 2 lakh 70 thousand tonnes and sunflower oil 2 million tonnes. Most of the palm oil is imported from Malaysia and Indonesia and soyabean and sunflower oil are mainly imported from Argentina and Ukraine. In the financial year 2022, India had imported edible oil worth a total of $ 1.2 trillion.

Why did the prices of palm oil increase and why have they decreased now?

Global prices of palm oil had increased because Indonesia, which is the largest exporter of palm oil, had banned the export of palm oil on April 28 last year. This ban was lifted after three weeks, and since then the prices of palm oil are decreasing in the global market. The inflation rate of mustard oil had come down to 8.6 per cent in December 2022. At the same time, due to falling prices of edible oil in the global market, the inflation rate of sunflower oil and palm oil in the country came down to 5.2 percent.

read this also

Petrol Diesel Price: Petrol-diesel became cheaper in these cities including Noida, Gurugram, Patna, know today’s new fuel price